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But Glenn is right. You have to let companies fail. Even when it means a whole lot of short term pain. We are now officially a country that will not let big companies fail. Its a Ponzai scheme and it can't last.

We should have let the banks fail and we should let AIG fail and we should let fannie and freddie fail. We should also let GM and Ford fail.

But we won't.

We are a nation that refuses to let anyone suffer the results of their bad decisions - bet it an individual or a business. Our government feels it is the responsibility of everyone to bail out the bad decisions of a few. So rather than letting a few suffer, we will all suffer.

Beck laments that we're up to our eyeballs in debt and we go out and buy half the mortgages in the country. Are there any economists here? What would have happened to half the mortgages in the country if Freddie and Fannie had collapsed? Mine is a serious question because I have no idea. From what I've heard, lending literally came to a halt or damn close to it last week. How can this country function in that environment? It kills me to see government bailing out businesses the way they are but isn't the alternative far worse?

Beck laments that we're up to our eyeballs in debt and we go out and buy half the mortgages in the country. Are there any economists here? What would have happened to half the mortgages in the country if Freddie and Fannie had collapsed? Mine is a serious question because I have no idea. From what I've heard, lending literally came to a halt or damn close to it last week. How can this country function in that environment? It kills me to see government bailing out businesses the way they are but isn't the alternative far worse?

As much as it pains me to say so, I don't think we had any choice. I had heard that these two outfits held 3/4 of the mortgages in the country. The overwelming majority of the mortgages that they hold are in good shape and regular payments are being paid on them. Only a small percentage are in bad shape or foreclosure.